Solving transportational problem - OR class notes

North-West Corner rule

Least cost rule
Balancing a Transportation problem
Dummy demand nodes: Supply > demand
Dummy source nodes: Supply < demand

Exampla:
A company has seven manufacturing units situated in different parts of the country.
Due to recession, it is proposed to close four of these and to concentrate
production in the remaining three units.
Production in these three units (E, F, and G) will actually be increased from
present levels and would require an increase in the personnel employed in them.
Personnel at the closed units expressed their desire for moving to any one of the
remaining units and the company is willing to provide them relocation expenses.